Cabinet To Discuss Gdr Issue Of Vsnl Next Week

The telecom giant's total requirement of funds will be specifically looked into, keeping in mind the shortfall of nearly $500 million and a total investment plan of approximately $2 billion over the long term.

According to the current plan , there will be a twin approach to raising of funds, with the government likely to divest a small stake in the PSU even as VSNL raises equity through a fresh offering of nearly $ 500-650 million.

The meeting is likely to bring an end to the uncertainty surrounding the launch. According to issue co-lead managers, if the in-principle clearance for VSNL to raise funds is provided, the roadshows for the GDR could commence in a month's time.